AUSTRALIA–INDONESIA DEVELOPMENT COOPERATION: SUPPORTING POVERTY REDUCTION IN INDONESIA (2015-2017)

Abstract

Title: Australia–Indonesia Development Cooperation: Supporting Poverty Reduction in Indonesia (2015 – 2017). Australia and Indonesia are two countries that are geographically located close to each other. As neighboring countries, having numerous cooperation in multiple areas is strengthening the relations between Australia and Indonesia. To realize the commitment of comprehensive partnership between Australia and Indonesia, there are a lot of cooperation that have been agreed by both countries, from the sector of education, security, economy including trade and investment as well as development cooperation. Both Australia and Indonesia recognize the importance of each other’s development as it contributes to the growth and stability in the regions. Therefore, since 1950s, Australia has committed to support development in Indonesia through foreign aid. A challenge in development faced by Indonesia is the poverty issue, therefore Australia as the development partner of Indonesia should be aligned with the national priority in Indonesia, which focuses to support the development in Indonesia by reducing poverty. This thesis is written to answer the research question on how did development cooperation between Australia-Indonesia affect poverty reduction in Indonesia to bilateral relations (2015-2019). Thus, this thesis is written with aims to explain about Australia-Indonesia development cooperation in supporting Indonesia’s efforts to poverty reduction, in order to understand whether it will affect the bilateral relations as well as the interdependence relations between these two countries. This thesis is using qualitative method by analyzing the variable chosen and collecting all the data needed, both primary and secondary, and combining the descriptive analytical research method to elaborate the primary sources. The result of this thesis is the development cooperation between Australia and Indonesia successfully supports the aim to reduce poverty in Indonesia and affect in strengthening the bilateral relations of both countries in terms of bilateral trade, business and investment, as well as people-to-people linkages